3 Benefits of the Job Creation Law for the People as Claimed by Jokowi Page all
JAKARTA, KOMPAS.com – President Joko Widodo (Jokowi) revealed a number of advantages with the passage of the Job Creation Law by the DPR. The Omnibus Law on Employment Creation is a bill proposed by Jokowi and entered as the 2020 Priority Bill in the 2020 National Legislation Program.
The ratification of the Job Creation Law was supported by all parties supporting the government coalition. Meanwhile, two factions stated that they rejected the Bill to become the Job Creation Law, namely the Prosperous Justice Party (PKS) and the Democratic Party.
The seven party factions supporting the Work Creation Bill to be passed into law include the Indonesian Democratic Party of Struggle (PDI-P), the Golkar Party, the Gerindra Party, the Nasdem Party, the National Awakening Party (PKB), the National Mandate Party (PAN), and the United Development Party. (PPP).
Here are 3 advantages of passing the Job Creation Law as claimed by Jokowi as summarized on Sunday (11/10/2020).
Also read: Here are 2 explanations for Jokowi who are still confused in the Job Creation Law
1. Opening new jobs
Jokowi said the Job Creation Law would encourage investment in Indonesia to grow so that more jobs would be available, especially during the Covid-19 pandemic.
“Every year there are around 2.9 million people of new working age, young people who enter the labor market. So that the need for new jobs is very urgent, especially in the midst of a pandemic there are approximately 6.9 million unemployed and 3.5 million workers. affected by Covid-19, “said Jokowi in his official statement.
He said that as many as 87 percent of the total working population had a high school level education and below where 39 percent had primary school education, so it is necessary to encourage the creation of new jobs, especially in labor-intensive sectors.
“So the Job Creation Law aims to provide as many jobs as possible for job seekers and unemployed people. The government believes that through the Job Creation Law, millions of workers can improve their lives and also the livelihoods for their families,” said Jokowi.
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2. Ease of opening a business
According to Jokowi, so far many new business actors have found it difficult to establish legal entities, from PT to cooperatives, therefore there are many permits that must be fulfilled.
“With the Job Creation Law, it will make it easier for people, especially micro and small businesses to open new businesses, trimming overlapping regulations and complicated procedures, business licensing for micro and small businesses is no longer required, just registration, it’s very simple,” said Jokowi.
“The formation of a PT or a limited liability company is also facilitated. There is no longer a minimum capital limitation, the formation of a cooperative is also facilitated by the number of only 9 people. Cooperatives can be formed,” he said again.
Other facilities provided by the government to business actors in the Job Creation Law are halal food certification to easy fishing permits.
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“We hope that there will be more cooperatives in the country. MSEs engaged in the food and beverage sector are certified by the government, meaning free. Fishing fishing boat permits, for example, are only for the KKP work unit, if previously they have to apply to the KKP, the Ministry of Transportation and other agencies. otherwise, it is enough just in units in the KKP, “he said.
3. Can eradicate extortion
Jokowi revealed that the Job Creation Law would encourage cutting the number of permits. In addition, the licensing process is optimized by using online without being face to face.
“The Job Creation Law supports efforts to eradicate corruption. This is clear because by simplifying, by cutting, by integrating the licensing system electronically, illegal fees, extortion, can be eliminated,” said Jokowi.
He gave an example, the Amdal permit in the Job Creation Law was made easier because it cut some obligations in the old regulation. Jokowi at the same time dismissed that the Amdal permit was abolished in the Job Creation Omnibus Law.
“What is also often reported incorrectly is the removal of Amdal, analysis of environmental impacts. That is also not true. Amdal still exists for large industries, it must be rigorous EIA studies, but for MSMEs, it is more emphasized on assistance and supervision,” he explained.
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